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California steamin’ on such a summer’s day

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This is Bloomberg Opinion Today, a solipstisic soliloquy on Bloomberg Opinion’s opinions. Sign

This is Bloomberg Opinion Today, a solipstisic soliloquy on Bloomberg Opinion’s opinions. Sign up here. California’s power grid is buckling [Bloomberg]( Follow Us [Get the newsletter]( This is Bloomberg Opinion Today, a solipstisic soliloquy on Bloomberg Opinion’s opinions. [Sign up here](. Today’s Agenda - California’s power grid is [buckling in the heat](. - [Winter is coming]( for Europe’s small businesses. - Shortening the lifespan of [‘forever chemicals.’]( - Adjusted for inflation, the US economy [is in terrible shape](. The Nightmare of Californication The climate crisis is making droughts, wildfires and extreme weather events almost commonplace. Peak demand for electricity in California this weekend threatens to top 48 gigawatts, exceeding the state grid operator’s once-every-five-years scenario. An intense and sustained heat wave is severely testing the ability of the world’s fifth-largest economy to keep the lights on and the air conditioners humming. Governor Gavin Newsom declared an emergency on Wednesday, which may have spurred legislators to vote a few hours later in favor of keeping the state’s last remaining nuclear power plant open. “It’s a no-brainer,” David Fickling writes in [the Elements newsletter](. But the hot weather stretches far beyond California’s borders. With the power infrastructure working overtime from San Diego all the way up to northern Idaho and inland as far as eastern Montana, the imports of electricity that California depends on may not be available.  “As with the weather itself, California’s assumptions about available resources are in flux,” David writes. “As vast as US power grids are, the scope of climate change is bigger still.” Even Cafés Deserve Government Help With Their Energy Bills It’s not just California that faces an energy crisis. The son of the owner of a small café in Leicester prompted a [twitterstorm]( this week after posting what will happen to his mother’s electricity bill. She currently pays about £10,000 ($11,600) per year; starting next month, that will jump to a staggering £55,000. European governments have focused on how to help households cope with the looming surge in energy costs they face this winter. But [small businesses will also need assistance](, writes Javier Blas. Central bankers are worried that accelerating consumer prices will lead workers to demand higher wages; but if companies raise their charges for goods and services to offset bigger electricity bills, “policymakers may face an even more sustained inflationary outlook than they are currently anticipating,” he says. Extending price caps to firms such as small bakeries, landlord-owned pubs and corner shops, effectively treating them as households, would provide short-term relief. And utility companies shouldn’t be allowed to demand huge deposits before agreeing to supply power to small businesses. “Politicians across Europe need to discuss not just how to help families, but the thousands of small and medium-sized companies that provide the jobs those families rely on,” Javier argues. “Otherwise this winter’s energy drama risks developing into a full-blown economic crisis.” Forever Just Got a Bit Shorter Perfluoroalkyl and polyfluoroalkyl substances are known as PFAS, and are used to add water- and grease-resistance to everything from dental floss to mascara to nonstick pans. But they’ve also been linked to a wide range of diseases — which is a problem, given that [they’re also known as “forever chemicals”]( due to the carbon-fluorine bonds that make getting rid of them incredibly difficult. “Companies keep churning out forever chemicals, and consumers keep buying products made more convenient because of them,” writes Lisa Jarvis. The damaging molecules can linger for years in soil, water and our bodies. But scientists at Northwestern University have come up with a method of dissolving some of them using just water, a widely used solvent called DMSO, and sodium hydroxide. It’s a start, at least. “The Northwestern team’s discovery won’t fix the world’s PFAS problems anytime soon.” Lisa says. “It could help with the clean-up and inspire other inventions that bring safer drinking water closer to reality.” Telltale Charts The Federal Reserve’s determination to curb inflation will drive the economy into recession. But Wall Street is currently [focusing on the wrong data](. “The inflation-adjusted numbers tell a more dire story,” argues Gary Shilling. Further Reading [These 50 startups rose]( as America locked down. — Bloomberg Opinion Liz Truss is about to get her hands on [Brexit dynamite](. — Therese Raphael No, Alaska hasn’t figured out [a better way to vote](. — Jonathan Bernstein ICYMI [ESG’s crown is slipping](, and it’s mostly the fund management industry’s fault. The incoming boss at Starbucks is [a move-fast espresso drinker]( who’s new to retail. [Cyberattacks on Western companies]( have increased since Russia’s invasion of Ukraine. The global bond market has slumped into [its first bear market in a generation](. Kickers [Stoners may not be slackers]( after all, University of Cambridge study shows. “Alexa, play [‘Poopy Stupid Butt’]( again...” (h/t Parmy Olson) Notes: Please send non-scatological listening recommendations and complaints to Mark Gilbert at magilbert@bloomberg.net. [Sign up here]( and follow us on [Instagram](, [TikTok](, [Twitter]( and [Facebook](. Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Before it’s here, it’s on the Bloomberg Terminal. Find out more about how the Terminal delivers information and analysis that financial professionals can’t find anywhere else. [Learn more](. You received this message because you are subscribed to Bloomberg's Opinion Today newsletter. [Unsubscribe]( | [Bloomberg.com]( | [Contact Us]( [Ads Powered By Liveintent]( | [Ad Choices]( Bloomberg L.P. 731 Lexington, New York, NY, 10022

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